Indian Gold At Flat Rates, Investors Waiting For US Fed Meet: Time To Invest?

Gold rates are being quoted quite flat in December, globally, amid in absence of any significant monetary policy measures by the US Fed, against inflation. Today, on December 13, 22 carat gold rates are quoted at Rs. 46,780/10 grams and 24 carat gold rates are quoted at Rs. 47,780/10 grams in India. Indian gold rates are dependent on international prices. This month is a good time to invest, as the prices are not gaining far. With adequate policy to control inflation, gold rates can fall further.

Gold rates in the international markets are behaving marginally bullish today, on December 13. However, after the inflation rate in the USA at 6.2%, the highest in 40 years, gold rates were anticipated to surge much higher. But, gold rates, globally are stuck around $1788/oz now. Gold investors are waiting for US Fed Chair Jerome Powell's address in the next week about the measures to control inflation, that will influence this month's gold rates.

Commodity analysts at Société Générale are thinking that the first quarter of 2022 could represent the high water mark for gold prices next year, according to a Kitco News report. The analysts are anticipating that gold prices will trade around $1,900/oz by the second quarter. In November, the French bank mentioned that they are expecting gold rates to cross the $1,945/oz level in the first quarter of 2022.

The economic analysts at Société Générale stated, "Despite Powell's renomination and his hawkish stance, our rates strategists do not expect interest rates hikes before Q2, FY22. This, combined with our economists' above-consensus inflation forecast, points to negative real rates; a perfect mix of for gold." They think that gold rates can cross $1,900/oz significantly in Q2, next fiscal.

Gold rates in different Indian cities are quoted differently, daily. Today's gold rates in major Indian cities follow:

City	22 carat (INR/10 Grams)	24 carat (INR/10 Grams)
Mumbai	46,780/-	47,780/-
Delhi	47,260/-	51,560/-
Bangalore	45,120/-	49,220/-
Hyderabad	45,120/-	49,220/-
Chennai	45,290/-	49,500/-
Kerala	45,120/-	49,400/-
Kolkata	47,350/-	50,050/-

(Also read: How Much Gold Can You Bring In India: How Much Duty Is Levied To Bring Gold In India?)

Today the Comex gold futures gained only by 0.07% and were quoted at $1784.2/oz, while the spot gold prices gained by 0.19%, and were quoted at $1787.3/oz till last traded. Yesterday Comex gold futures closed at $1782.9/oz. Additionally, the US dollar index in the spot market also surged to 96.37, gained by 0.28%. Mirroring the same global gold rate trend, in India, the Mumbai MCX gold in February future quoted at Rs. 48,232/10 grams, gained by 0.14%, till last traded.